Bitcoin Cash and Bitcoin SV Halving Analysis Will Not Predict Bitcoin

Coin Metrics: Bitcoin Cash and Bitcoin SV Halving Analysis Will Not Predict Bitcoin Behavior

Coin Metrics researchers analyzed last week's Bitcoin Cash and Bitcoin SV halving and drew parallels between the upcoming halving of the first cryptocurrency in May.

As a result of halving the reward to miners, the hash rates of BCH and BSV immediately after these events dropped noticeably (up to 73%). Although these indicators have recovered somewhat to date, they are still 50% below the 2020 average.

This, in turn, led to the fact that the number of confirmations required in order to consider transactions as final has doubled. For comparison, analysts note that during the previous halving in 2016, bitcoin did not experience such a drop in hash rate, although its short-term stagnation was still observed.

The increased time to create new blocks and a decrease in the reward for miners also led to a decrease in BCH and BSV emissions, which immediately after halving dropped significantly below the expected levels of about 1.75%. Subsequently, the situation stabilized somewhat.

The volatility of the issue is due to the fact that BCH and BSV have a different difficulty recalculation mechanism than BTC: if Bitcoin changes after 2016 mined blocks, BCH and BSV are recalculated after each block based on the average for the last 144 blocks.

With the drop in complexity and hashrate, the time spent for new blocks in the BCH and BSV networks has increased to about 30 minutes. So, on the days following the halving, instead of the expected 144, 55 and 54 blocks were found, respectively.

The BCH example, however, shows that recalculating the difficulty after each block helps to quickly fix this situation:

Despite all these factors, Coin Metrics notes, in the days following the halvings, BCH and BSV did not observe price movements outside the normal behavior of the rest of the market.

Nevertheless, if we talk about the upcoming halving of bitcoin, then it is extremely difficult to predict exactly how the network will behave and how this will affect the price, analysts conclude.

CryptoKitties Creator And Libra Project To Swap Programming Languages

Dapper Labs, creator of the acclaimed game CryptoKitties, announced a partnership with the Libra project, in which developers will exchange technology.

Dapper Labs CTO Dieter Shirley announced that he is going to implement the Move programming language used in the Libra project into his own Flow blockchain. In turn, Libra integrates the Cadence programming language with which Dapper Labs creates smart contracts.

According to Shirley, Move will improve the performance of the Flow blockchain, while Libra will take advantage of Cadence, tailored for developers. The Cadence programming language has been developed by Dapper Labs for about a year, it is based on linear type theory and is designed to simplify the work of smart contracts.

“Above all, Cadence was designed with readability and ease of use in mind. This language uses syntax based on Swift and Rust. On the other hand, Move is focused on improving the performance and speed of smart contracts. Optimizing performance was the first priority for the Libra developers, and syntax usability came second. In our case, the opposite is true, ”explained Dieter Shirley, adding that such an exchange of technological experience would complement both projects.

Poolin founders will have to pay Bitmain $ 170,000 by court order

The founders of the Poolin pool lost the case against Bitmain and are required to pay it 1.2 million yuan ($ 170,000) against previously received payments and fines.

Bitmain filed a lawsuit against three of its former managers in August 2018 for opening their own mining pool, thus violating a non-competition agreement.

Bitmain won the case and now Poolin's legal representative Pan Zhibiao and two co-owners Zhu Fa and Li Tianzhao must return Bitmain the wages they received from September 2017 to January 2019. The payment was to take place within 7 days from the date of the court's decision on January 6 of this year.

Bitmain wanted to get much more - 30 million yuan ($ 4.3 million), including a fine for violating the terms of the agreement in the amount of $ 667,000 and commissions from 26,825 BTC, which were mined by the pool for the entire period. The court considered this amount to be excessive and reduced it.

Bitmain's main business is related to the production of cryptocurrency mining equipment, in addition, it operates the BTC.com and Antpool pools, which have long dominated the Bitcoin network in terms of hash rate. Last September, Poolin surpassed Bitmain in terms of computing power.

Last week, Bitmain co-founders Micree Zhan and Jihan Wu were named among the world's richest people by Forbes magazine.

China established a committee to develop national blockchain and DLT standards

China has set up a technical committee of 15 organizations to develop national standards for blockchain and distributed ledger technology (DLT).

The Chinese government is increasingly involved in promoting blockchain-based innovations across the country. After the Ministry of Industry and Information Technology (MIIT) requested information about the data security standards of blockchain and other technologies three days ago, the Chinese government issued a notice that it had created a technical committee of 15 organizations to develop national standards for blockchain and distributed technology. registry (DLT).

The new committee includes the People's Bank of China (PBC) Digital Currency Research Institute, MIIT, Tencent, Zhejiang University, and Baidu.

The committee now has 71 people from these organizations. MIIT Vice Minister Chen Zhaoxiong was appointed chairman of the committee. Di Gang, deputy head of the NBK's Digital Currency Research Institute, will be one of the five vice chairs of the committee.

Today, China is a leader in blockchain and digital currency innovation. The PRC authorities have made great strides both in the technical implementation of new technologies and in regulatory reforms that are aimed at supporting research and development in this sector. As for the volume of investments in the blockchain industry, the USA is in the lead.

At the end of March, it became known that the People's Bank of China (PBOC) had completed the next stage of the development of the state cryptocurrency in cooperation with private companies. At the same time, it became known that the NBK was working on the legislative framework for the circulation of the digital yuan.